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Small-Cap Stocks

Smaller (and sometimes newer) companies associated with high risk and high potential rewards. Can be illiquid to trade with large bid–ask spreads.

Related Terms:

Speculative Stocks
Speculative stocks have the potential for above-average returns, but they also carry above-average risk of loss ...

Thin Spreads
Large gaps between the bids and offers caused by infrequent and illiquid trading. Thin spreads tend ...

Growth Stocks
Growth stocks are issued by companies expected to have sustained high rates of growth in sales ...

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